So, are you interested in making money with cryptocurrency? We’re penning down these words to explain how people can make money by buying/selling virtual money. When discussing virtual money, a person can’t discount the importance of Ethereum, the second-largest cryptocurrency in the world right now! Unlike your standard Bitcoins, ETH isn’t just a cryptocurrency but a blockchain-based decentralized computer-operated network. Established in 2015 by VitalikButerin, this currency’s become famous for many reasons we’ll discuss later. First, let’s warn you that, while Ethereum serves as the network to support the currency, ether is the medium of exchange.
Now, let’s review how ETH was created.
How was Ethereum founded?
Where did the concept of cryptocurrency come from? It started when Satoshi Nakamoto utilized the age-old blockchain technology to invent the world’s first internet-based cryptocurrency. Bitcoins didn’t gain fame quickly, but soon people realized the benefits of blockchain for our online economy. Satoshi used a digital ledger spread across different nodes to record a transaction, making this data irreversible since you can’t alter the information unless you control all the nodes. Since all participants hold a copy of your data on the network, you have near-to-impossible chances of getting hacked. That’s how cryptocurrency works, and, initially, Ethereum was based on a similar concept. But it all changed in 2016, humorously.
Someone stole $50 million worth of ETH coins, so the participants decided to invalidate the original weak blockchain and replace it with another one. When blockchains diverge, we call this event a “hard fork”. There are two blockchains, Ethereum Classic (not updated since) and the one we’re discussing today. Well, now we have 120+ million ETH coins in circulation, and all social media-inspired home-based investors are putting their eggs into the ethereal basket. You can also buy or sell Ethereum for some fair US dollars online and make money with your smartphone! Just remember to use the methods we’ll soon mention here. First, let’s argue what makes ETH a better trading choice for you than the good ol’ BTC.
What Makes ETH Better Than BTC?
Two things happened in May: first, Ethereum’s market capitalization reached 17% of the world’s crypto-based market; second, the crypto market crashed. However, the market soared again, and now it’s being predicted that ETH shall grow more than 400% in value and even exceed the $4,000 mark this year. This seems like one of many reasons to invest in Ethereum today. But why should one prefer ETH over BTC? A blog like this can’t do justice to this query properly, but we can describe some benefits of ETH over BTC:
- Ethereum’s backed by a large-sized community of back-end developers.
- The price of Bitcoin can be highly volatile, thereby unsafe for first-time investors.
- If you worry about hiding your identity, Bitcoin doesn’t provide complete anonymity to users.
- Ethereum transactions are processed quicker than Bitcoin transactions as new blocks are added to the former every 12 seconds.
- Bitcoins take a lot of computer power, thereby polluting the environment. Compared to Bitcoins, ETH coins are more eco-friendly since they don’t consume that much energy.
- As explained above, ETH wasn’t just meant to be a medium of exchange like BTC. Creators designed it to serve as a platform where you can build applications such as smart contracts. So, this feature isn’t available in the blockchain supporting Bitcoins.
- Bitcoin isn’t unlimited and won’t issue more than 21 million coins (we have produced nearly 20 million today). But there’s no restriction on how many ETH coins we can build. The followers of Ethereum Classic, however, don’t wish to produce more than 230 million coins.
How To Make Money With Ethereum?
So, how to make money with these coins? Answering this million-dollar question isn’t difficult since most of you are familiar with the concept of cryptocurrency investment. Statistics from last year indicate that 16% of Americans have bought, traded, or invested in cryptocurrencies such as BTC or ETH. However, an individual can make money via virtual money through several methods. Just don’t forget that while ETH can be an extremely lucrative investment opportunity, it still doesn’t promise a 100% ROI. Some sorts of risks are always associated with online investment options. Never invest your savings in these schemes; stay cautious when investing, and only trust reliable platforms. Now, make money with ETH by doing:
- Crypto-mining:-Solve maths problems and earn some coins.
- Affiliate programs:-You’re paid to refer a platform to your friends.
- Working for companies:– Work for certain companies that pay you in crypto.
- Write about crypto:– Become a writer and earn money writing about cryptocurrency.
- Lending your wealth:– Allow people to borrow your virtual wealth and charge interest on it.
How Can You Buy/Sell Your Cryptocurrency?
Trading cryptocurrency isn’t a meme-inspired Reddit-fueled fad anymore; instead, more and more people are seriously entering this industry. So, let’s talk about buying and selling Ethereum. Many websites help you become a crypto day-trader and long-term investor today. How can you trade ETH? We promised to deliver a concise list of simple stages of cryptocurrency investment. Here’s what we have to tell you about buying and selling cryptocurrency in 2022. The whole process involves a series of simple tasks:
- Several trading platforms and crypto exchanges exist today, but you must carefully choose the one most suitable for your investment objectives.
- Create your account on your favorite platform. Most exchanges will verify your identity and allow you to trade on the platforms. So, submit your documents as requested.
- Are you here to buy or sell crypto? Connect your debit card or bank account with the profile you have just created on the exchange. That’s how you can buy virtual money on the platform. If you are to sell Ethereum, deposit your virtual wealth onto the exchange.
- The exchanges allow you to trade ETH with other cryptocurrencies. So, you don’t have to sell the stuff for American dollars; try to convert them into another country’s currency too. People have made money by trading cryptocurrency with Australian dollars as well.
- Where should you keep your cryptocurrency? Exchanges provide you a waller but aren’t too secure since hackers infiltrating these exchanges can also steal your virtual wealth. Thus, you can use another digital wallet for storing your virtual money. Some investors even use hardware such as flash drives to store Ethereum properly.
Do investors make real money investing in virtual wealth? Surveys have revealed that investors did earn $163 billion last year trading cryptocurrency. Americans, Germans, and the British were richer than ever in this industry. And – guess what? – ETH investors made more money than BTC traders! That’s why we’ve written down this article to explain to people how they can make some decent money by trading Ethereum. We’ve mentioned that ETH can be more profitable than BTC in some cases. You only need to create an account on a crypto exchange, verify your identity, and start trading. Remember to store your crypto wealth in a digital wallet. Now, you’re an active crypto investor using crypto to get wealth!
What did we learn?